New Jersey Environmental Infrastructure Trust Fund Provides $31.5
Million for Floodwall to withstand Even the “500-year” Storm

August 11, 2014 02:18 PM Eastern Daylight Time

VOORHEES, N.J.--(BUSINESS WIRE)--Governor Chris Christie signed legislation on Friday authorizing $31.5
million in state financing to raise New Jersey American Water’s largest
water treatment plant’s existing floodwall to withstand even a
“500-year” flood. The plant serves more than a million people in seven
counties; provides water to five large public water systems; and serves
as an emergency source of water for the cities of Newark and Trenton.
Irene’s flood waters came within an inch of breaching the plant’s flood
wall, which could have resulted in an estimated regional economic loss
of more than $1.8 billion.

The funding is part of the $1.28 billion bill that is aimed at financing
for much-needed improvements to drinking water and wastewater
infrastructure projects across the state.

In signing the legislation, Gov. Christie said, “There can be no
compromises in protecting the viability, integrity and resiliency of the
state’s water-supply and wastewater systems, especially in areas that
are vulnerable to floods.”

“Hurricanes Irene and Sandy both challenged the resiliency of regional
water systems,” said William M. Varley, President of New Jersey American
Water. “Raising the floodwall at our Raritan Millstone Water Treatment
Plant by four feet is a multi-million dollar undertaking, and we are
grateful for the assistance of both the New Jersey Environmental
Infrastructure Trust and New Jersey Department of Environmental
Protection.”

The legislation provides New Jersey American Water, among others, with a
low-cost loan from the New Jersey Environmental Infrastructure Trust
(NJEIT), an independent state financing agency, in partnership with the
Department of Environmental Protection (DEP).

“We are proud to be playing a major part in the recovery of New Jersey
from the devastation of Superstorm Sandy,” said NJEIT Executive Director
David Zimmer. “All of these projects, whether directly Sandy-related or
not, are critically important to our local communities and will provide
thousands of construction jobs in our state.”

New Jersey American Water, a wholly owned subsidiary of American Water
(NYSE: AWK) is the largest investor-owned water utility in the state,
providing high-quality and reliable water and/or wastewater services to
approximately 2.5 million people. Founded in 1886, American Water is the
largest publicly traded U.S. water and wastewater utility company. With
headquarters in Voorhees, N.J., the company employs approximately 6,000
dedicated professionals who provide drinking water, wastewater and other
related services to an estimated 14 million people in more than 40
states, as well as parts of Canada. More information can be found by
visiting www.amwater.com.